Home Federal Bank parent Home Federal Bancorp on May 31 changed from a federally chartered stock savings bank to an Idaho-chartered commercial bank.
The charter conversion was the final regulatory stage of the Home Federal board’s strategy to move from a savings and loan to a full-service commercial bank, President Len Williams said in an interview. The board has been growing its commercial business for more than six years.
The Nampa-based bank now is allowed to make a higher percentage of its loans as commercial loans compared to when it was regulated as a thrift, though the bank had ample room to grow commercial loans under thrift guidelines.
The time was right to change to an Idaho commercial bank charter because the federal Office of Thrift Supervision is folding into the Office of the Comptroller of the Currency, Williams said. The bank will keep “federal” in its title, he said.
Home Federal is now like most community banks in that it is state- and Federal Deposit Insurance Corp.-regulated, he said. He said Home Federal is now the largest Idaho-chartered bank. The bank operates 34 branch offices.
Home Federal offices in Oregon also are overseen by the Idaho Department of Finance, which works in cooperation with Oregon regulators, Williams said.